Tesla launches new Model Y in US, Canada, and Europe following China

Tesla debuts a pricier Model Y with extended range and advanced features.

Elon Musk's Tesla (TSLA.O) introduced a new, more expensive version of its Model Y, the company’s top-selling vehicle, in the U.S., Canada, and Europe on Thursday. This follows its initial release in China a few weeks ago.  

The updated Model Y, a long-range all-wheel-drive variant, is priced at $59,990 in the U.S., as listed on Tesla's U.S. website. This makes it 25% more expensive than the earlier version, which is priced at $47,990.  

This new version includes the supervised full self-driving software as a standard feature, which was previously offered as an optional $8,000 upgrade in older Model Y cars.  

Tesla announced that deliveries for the new Model Y are set to begin in March.  

With the addition of this model, Tesla now offers four versions of the Model Y in the U.S. market. The latest variant is the most expensive, even surpassing the cost of the performance version.  

The new Model Y features redesigned exteriors, enhanced interior features, and a slightly extended range of 320 miles (515 km), as detailed by Tesla.  

Originally launched in 2020, the Model Y became the world’s best-selling car in 2023. However, the aging model saw a slowdown in sales last year due to increasing competition in China and weakening demand for electric vehicles in other regions.